Does Freight Factoring Make Sense For My Business?
Are you still asking yourself, “What is freight factoring going to look like for my business, and is it right for me?
If so, remember that factoring bridges the gap between when you complete a load and when you get paid. With factoring, you’re prioritizing present-day cash flow in return for a small fee for the factoring company’s invoicing services.
Your relationship with a factoring company is entirely transactional. After the factoring company pays you for a particular load, it becomes their responsibility to collect payment from your customer. The invoice is closed only after the factoring company has collected their payment in full.
Factoring helps simplify your business cycle and relieve you of the billing and collection process (and headaches). If you’re looking for cash flow and back office support, freight factoring could be just the thing you need.
Finding the Right Freight Factoring Partner
Freight factoring has only grown in value and popularity as freight transportation becomes increasingly complicated by supply chain bottlenecks that render on-time deliveries more difficult than ever.
What’s worse, current supply chain breakdowns have made cash flow management slower and more unpredictable than ever before, particularly relative to pre-pandemic times.
Amid a sea of unpredictability, factoring can serve as an effective means to alleviate cash flow challenges and reduce the strain of invoice processing. With the right factoring partner, you can eliminate gaps within your cash flow, buy into complimentary freight factoring services tailored to your business, and streamline workloads and other core business services. But how do you decide which factoring company is right for you?
Outgo, a DAT product, is known for its best-in-class track-record and credibility within the freight factoring industry. If your goal is to optimize cash flow management, Outgo is here to help. When you partner with Outgo, you’ll receive payment within 4 hours for approved invoices so you can get on the road faster. Outgo is great partner, especially for small businesses.
Outgo and DAT One help owner operators and carriers find loads to haul that are factorable through Outgo. All loads on DAT One load boards featuring a dollar sign ($) are with brokers approved for factoring through Outgo. So if you’re ready to take your freight business to the next level then all it takes is one call to make it happen.
